OPEC’s game of ‘Deal or No Deal’ could push oil prices below $30

03-Nov (CNBC) — NBC used to air a fast-paced television game show called “Deal or No Deal.”

The oil markets have been playing a version of that with OPEC and certain non-OPEC members who, in a desperate attempt to save their economies, are trying to forge a deal on limiting oil production.

As is usually the case, when Saudi Arabia speaks, the oil market listens, and, in a departure from their previous position of engaging in a bare-knuckle brawl for global market share, they have been leading the charge to reign in oil production.

Oil prices had rallied on their attempts, recently nearing the $52 level for West Texas Intermediate.On Thursday WTI was trading at about $45 per barrel.

… Because of all this, WTI oil prices are set to trade back down to the mid-$30, at least, putting the February low of $26.05 back in-play, into year-end.

2017 is looking like another challenging year for the energy industry.

[source]

PG View: That could translate into another challenging year for inflation expectations as well . . .